Dive Brief:
- Fair chance hiring policies are often framed in a manner that dissuades job candidates who lack criminal histories from applying, but this effect can be mitigated if employers communicate such policies by making a moral case for them, according to the results of a study published in the Journal of Management.
- The policies delay questions about a candidate’s criminal history until later in the hiring process. Of postings analyzed by researchers at the Michigan State University, Louisiana State University and Texas Christian University, 88% described these policies using compliance-focused language that led applicants with no criminal history to assign negative stereotypes to such companies, per the study.
- However, organizations that framed fair chance hiring practices as part of an effort to promote fairness and ethics “consistently reduced” such stereotypes, MSU said in a July 9 press release. The approach could alleviate reputational risk associated with adopting a fair chance policy, Francesco Moreno, assistant professor of management at MSU, said in the release.
Dive Insight:
Employers, HR organizations, advocacy groups and a variety of other stakeholders have placed growing emphasis in recent years on broadening employment opportunities for people with criminal histories. Federal data indicated that up to 6.9 million Americans are either incarcerated or on probation or parole at any given time, and this sizable population has been floated as an underutilized talent pool for employers.
But successful fair chance hiring — alternatively known as second chance hiring — may require a commitment on the part of employers to overcome negative perceptions of those with criminal histories. It also means providing support to formerly incarcerated employees who experience challenges such as absenteeism or poor performance that may be tied to issues outside of work, an expert previously recommended.
According to MSU, applicants without criminal records in the study had reduced interest in jobs with organizations that advertised fair chance hiring policies. But the framing of the policies reduced negative reactions, which could have implications for other forms of diversity, equity and inclusion programs.
“This approach could extend beyond criminal history hiring to other groups that face stigma in the workplace,” Moreno said.
Organizations have experimented with a variety of methods to improve hiring of formerly incarcerated people, including delaying background checks until after an employment offer has been made. Others have gone further in this regard; Greyston Bakery, for example, is known for offering entry-level positions via an “open hiring” model that features no background checks.
Employers could be further incentivized to hire those with criminal records via government-provided tax credits or insurance programs, a 2024 study found. The federal government, meanwhile, has implemented the Fair Chance Act, which limits agency requests for federal job applicants’ criminal history records prior to a conditional employment offer.